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07/15/2008

IDC Awards G.R.A.D.E. Certification to Five IT Asset Disposal Organizations

FRAMINGHAM, MA – July 15, 2008 – IDC today recognized Dell, Hewlett Packard, IBM, Intechra, and Redemtech as the first recipients of IDC's Green Recycling and Asset Disposal for the Enterprise (G.R.A.D.E.) certification. Each vendor exceeded the minimum criteria required for G.R.A.D.E. certification. The certification process is based on 34 IT Asset Disposal (ITAD)-related functions and tasks and uses a multi-dimensional weighting system that incorporates the broad offerings of remote applications, onsite services, logistics, in-plant processing, and post treatment. IDC G.R.A.D.E. certification is currently focused on the U.S. market.

The Information Technology Asset Disposition industry is still in its fledgling phases and is thus fragmented. In general terms, the ITAD industry is composed of three major players: local scrap companies, OEMs (manufacturers), and core ITAD companies that have developed advanced specialties in asset recovery. In response to demand from IDC's end-user customers regarding PC and other IT hardware retirement, IDC now offers certification for both OEMs and core ITAD vendors that meet the required criteria. IDC will continue to evaluate suppliers in this category on a regular basis.

Understanding which ITAD vendor to select can make a major difference in guaranteeing environmental sustainability and business continuity, while providing a higher level of protection to a company's intellectual, financial and other assets. Driven by expanded regulations, fear of security breaches, and concern over the environment, companies are increasingly adopting sound ITAD practices that rely on the use of third-party professionals with proven expertise, skills, and capabilities.

In this first certification release, IDC identified Dell, Hewlett Packard, IBM, Intechra, and Redemtech as having met IDC’s G.R.A.D.E. requirements by exceeding the minimum passing grade of 75%. Details and a methodology summary can be found in IDC's recently released report, 2008 Assessment of U.S. IT Asset Disposal Service Providers (Doc #213383).

"Although there is still a lot to be achieved, these organizations have made significant investments in establishing sound IT asset recovery/disposal processes," said David Daoud, research manager, Personal Systems at IDC. "Their logistics, facilities, and remarketing operations utilize today’s best standards, which are still evolving and likely to continue to improve as customer requirements expand and innovation and new techniques are established."

While working to adopt best practices, these vendors recognize the need for greater accountability. Driven by growing pressure from their customers, these companies are looking for ways to improve end-of-life operations that guarantee environmental and business sustainability for their customers. Among the most scrutinized areas in need of improvement today are guaranteeing zero landfill policy and full recyclability of retired materials. Additionally, providing a thorough accounting of ITAD outcomes, in terms of cost, carbon emission control, toxic waste elimination, and visibility on export destinations are critical.

For a briefing on the ITAD industry or to discuss methodology and assessment, contact David Daoud at 508-988-7502 or ddaoud@idc.com.

For other non-research related question, please contact Jonathan Guloyan at 508-935-4296 or at jguloyan@idc.com

About IDC

IDC is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. IDC helps IT professionals, business executives, and the investment community make fact-based decisions on technology purchases and business strategy. More than 1,000 IDC analysts provide global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries. For more than 44 years, IDC has provided strategic insights to help our clients achieve their key business objectives. IDC is a subsidiary of IDG, the world's leading technology media, research, and events company. You can learn more about IDC by visiting www.idc.com.

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